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Category: Loans

When Does a Promissory Note Create Basis in Controlled Company Stock?

Business owners have choices in how to fund their corporations. Should they contribute cash? Property? Perhaps a promissory note? There may be some benefit of using a promissory note. You get stock in your company without immediately parting with cash …

Published December 6, 2025
Categorized as Federal Income Tax, Loans, Mitchell Tax Law, Tax Blog, Tax Loss

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